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March 15, 2007
How long for renters?
What is the longest you have had a vacancy?
For those of you renting apartments, what is the longest amount of time you have had an apartment vacant? What was the area? Why do you think it was vacant for that long?
Thanks!
Comments
This may sound incredibly obvious but if an apartment sits vacant for too long, the price is too high for the area or condition of the apartment. You have to weigh the amount of money lost if it sits vacant for another two weeks, month etc., against lowering the rent and renting it more quickly. We had a two-bedroom for 1400 in CH, it sat for two weeks. We dropped it to 1300 and rented it immediately. So I figure we lost a half month's rent by not beginning with the lower rent. I would hold an open house and get feedback from those who attend. If everyone's beef with the place is the price and no one applies. It's off the mark.
Posted by: Anonymous at March 15, 2007 11:53 AM
My opinion is that if the apartment sits vacant at all, even one day, the price you're asking is too high. If you start showing an apartment a few weeks before the prior tenant vacates, and you don't rent the place in advance, you're asking too much.
I've been a landlord for ten years and only once that I can remember didn't have an apartment rented before it was vacated. Generally, you lose a hell of a lot more money having an apartment vacant for just a month than you would renting it for less. Consistent cash flow is key to making money with rental properties.
Posted by: Jake the Snake at March 15, 2007 12:09 PM
For the last 4 years I have owned or shared ownership of 3 apartments along Bedford near Fulton. Crown Heights/Bed Sty. Early on I occasionally had vacancies of 2 months, and my impression was that my asking rent was too high. Usually I had let some broker talk me into a higher rent than the market would bear. I am done with that approach. It is much easier to set the rent $50 below market and have too many applicants than to have it $50 above and have none. $50/mo =$600 a year which is less then a months rent. If you get a good tenant, who will stay for 3 years say, you have less of a chance of loosing that months rent every year. Also, when the rent is below market people know it. They feel happy and lucky, and are easy to deal with. With the lower rent we can fill the space in 2 weeks. We have fewer people who disapear after saying they are really interested. Usually we have new people move in the day after the old tenants move out. We do not use a broker, though we do probably spend at least 20-30 hours processing applications, showing the apartment and interviewing tenants.
Posted by: ameraleed at March 15, 2007 12:13 PM
I just wanted to add that if you can't find a qualified tenant to rent to in time, DON'T UNDER ANY CIRCUMSTANCES settle on a risky tenant. If your gutt says "NO," listen to it.
I admit I've made a few judgement errors in order to rent immediately that caused me to lose lots of sleep and lots of money. People who screw up in the past usually keep screwing up. If somebody tells you they were divorced and that's why their credit is bad, not believe them.
A good nights sleep is more important than a few bucks.
Posted by: Jake the Snake at March 15, 2007 12:27 PM
Post 911, i had two tenants move. Floor through apartments in owner-occupied Fort Greene brownstone. It took, 5 months to rent one and 8 1/2 months to rent the other.
Brokers were useless and I ended up finding good tenants from Craig's List.
Posted by: Anonymous at March 15, 2007 1:31 PM
One month - never more.
Even on October after 9/11. Month & half for duplex - more money more space have to wait longer for proper tenant. I usually have floor thrus rented before the other tenant moves out.
If you have to wait longer - you want too much money. Not worth it. I have rented two apts
on border of CH & BS in one day last year and had multiple offers. Price it right from the start.
Posted by: MG at March 15, 2007 2:01 PM
Use Craig List and a reliable broker.... Don't settle. Go with your gut feeling also...
Posted by: PC at March 15, 2007 6:26 PM
Owner occupied home in Park Slope. In 12 years I have consistently rented the apartment without losing even 1 months rent. Always used a broker. Always asked under value. Always had great tenants. If the tenant believes they are getting a great deal they will always think twice before doing something to screw it up. My old tenants (didn't want to move- job relocation) even send me holiday cards.
Posted by: Anonymous at March 15, 2007 10:49 PM
hmm, usually ends up rented to someone who came to the first showing. as previous posters, i also price it $25-$50 below market, gives me a larger pool of applicants to choose from.
Posted by: Anonymous at March 16, 2007 1:02 AM
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